Rupee weakens further, hits new closing low of 84.40 per dollar- All eyes on US CPI data

The weakness in the rupee continues on the back of a stregthening dollar and selling by foreign investors. The currency felll further and closed at a new closing low of 84.40 against the US dollar. 

Also ReadNTPC Green Energy IPO likely next week, eyes $12 billion valuation

Trading Range and RBI Intervention

The rupee fluctuated between a high of 84.38 and a low of 84.41 during the session before settling at 84.40. Market experts expect the rupee to trade within the 83.80 to 84.50 range in the medium term. The Reserve Bank of India (RBI) is expected to intervene and limit further decline.

Jateen Trivedi, VP Research Analyst for Commodity and Currency at LKP Securities, said, “the rupee received some relief from falling crude and gold prices, as the reduced pace of decline could potentially improve India’s import bill in the coming months. Despite this, the dollar index’s continued strength above 105 is expected to maintain pressure on the rupee, limiting any significant recovery in the near term. With resistance near 84.25-84.30 zone and support seen lower at 84.55. This week’s focus will be on the US CPI data release, which could influence the dollar’s trajectory. Additionally, Chairperson Powell’s upcoming speech is expected to provide insights that may drive price action in the dollar, currently trading at a four-month high of 105.75$”

Impact of Global Factors

The US dollar index, which measures the strength of the greenback against a basket of six major currencies, was trading 0.06% higher at 105.60. The dollar index has maintained strength above 105, exerting continued pressure on the rupee. Brent crude, the global oil benchmark, also saw a 0.60% increase, trading at USD 72.26 per barrel in futures.

Also ReadSEBI extends deadline for public comments on digital platforms proposal to November 26

The upcoming US Consumer Price Index (CPI) dataand a speech by US Federal Reserve Chair Jerome Powell will have a telling impact on the dollar and investor sentiment at large. The dollar index currently trading at a four-month high of 105.75 and depending on this trajectory, the Indian currency is likely to see further action.

FIIs on a selling spree impacting sentiment

The decline in the rupee comes amid a significant drop in domestic equity markets coupledwith continuous outflows by foreign institutional investors (FIIs).

 » Read More

Related Articles

Should you withdraw or reinvest your matured investments?

When an investment matures, you face a crucial decision: withdraw the funds or reinvest them for future growth. The right choice depends on your financial goals, market conditions, and liquidity needs. Reinvesting can help build wealth through compounding, while withdrawing may be ideal for immediate expenses or reallocating to better opportunities. Understanding the pros and

Starlink’s India entry a challenge for telecom Majors? Key factors to watch…

With Bharti Airtel and Reliance Jio announcing their respective agreements with SpaceX, JM Financial said that this tie-up is largely neutral for the two telecom companies and there seems to be no significant risk to growth potential for Indus Towers. Currently, the agreement between the two telcos and SpaceX is limited to distributing Starlink’s satellite

Ola Electric shares slump 6%- 4 key concerns for investors are…

OLA Electric Mobility has been continuously in the eye of the storm. The share price fell below Rs 50 per share on the National Stock Exchange, down 6.2% intra-day. This is after Rosmerta Digital Services initiated insolvency proceedings against OLA Electric Mobility’s wholly-owned subsidiary, Ola Electric Technologies, for non-payment of incurred services. Rosmerta initiates bankruptcy

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Stay Connected

0FansLike
0FollowersFollow
0SubscribersSubscribe
- Advertisement -

Latest Articles

Should you withdraw or reinvest your matured investments?

When an investment matures, you face a crucial decision: withdraw the funds or reinvest them for future growth. The right choice depends on your financial goals, market conditions, and liquidity needs. Reinvesting can help build wealth through compounding, while withdrawing may be ideal for immediate expenses or reallocating to better opportunities. Understanding the pros and

Starlink’s India entry a challenge for telecom Majors? Key factors to watch…

With Bharti Airtel and Reliance Jio announcing their respective agreements with SpaceX, JM Financial said that this tie-up is largely neutral for the two telecom companies and there seems to be no significant risk to growth potential for Indus Towers. Currently, the agreement between the two telcos and SpaceX is limited to distributing Starlink’s satellite

Ola Electric shares slump 6%- 4 key concerns for investors are…

OLA Electric Mobility has been continuously in the eye of the storm. The share price fell below Rs 50 per share on the National Stock Exchange, down 6.2% intra-day. This is after Rosmerta Digital Services initiated insolvency proceedings against OLA Electric Mobility’s wholly-owned subsidiary, Ola Electric Technologies, for non-payment of incurred services. Rosmerta initiates bankruptcy

Wipro plummets 13% in 2025: 4 key factors to watch amidst restructuring of global business

Wipro shares fell 0.9% to an intra-day low of Rs 261.70 after it realigned the global business with clients’ needs. The stock was among the major losers on Nifty and has lost 13% year to date. The restructuring in global business line comes amidst the US recessionary concerns and challenging macroeconomic conditions. Also, the company

Infosys has plunged 16% in 2025: 5 key factors investors need to know ahead of Q4 earnings

Infosys is back in the spotlight as investors keep a close watch on the IT giant following recent developments. From its upcoming quarterly earnings to stock performance trends, here are five key things to know about Infosys shares right now. Infosys: Quarterly earnings on the radar The countdown has begun for Infosys Q4 results. The